Nvidia after Jensen Huang: What founder transitions show

Jensen Huang is not the first CEO to leave a company he helped build.

But experts told CNBC that his sudden resignation from Nvidia at a critical juncture is unique and leaves his eventual successor with challenges in leading the company that’s powering the artificial intelligence boom.

In 33 years, Huang, who resigned on Thursday amid reports of extramarital affairs, including with a woman U.S. intelligence believes is a spy for China, made the company he co-founded the world’s most valuable.

Former Goldman Sachs CEO Lloyd Blankfein wrote on X that he was “indispensable” but “the graveyards are filled with indispensable men,” referencing a quote attributed to French leader Charles de Gaulle.

While the board looks for a new CEO and CFO Colette Kress does the job temporarily; analysts say Huang’s charisma and bullish drive will be hard to replicate.

“I’m not sure we’ve seen a situation quite like this, where the founder and CEO of one of the world’s largest companies faces such a sudden departure amid scandal,” Michael Withers, professor of management at the University of Notre Dame’s Mendoza College of Business, told CNBC.

Whoever follows will “face challenges that go well beyond those of a typical CEO replacing a founder,” he added.

Apple‘s image was inseparable from Steve Jobs when he resigned in 2011. But unlike Nvidia, the company had had other CEOs — and an internal successor.

Tim Cook invested in Apple’s chip strategy and services business and became a key corporate diplomat in dealings with the U.S. and Chinese governments. He was known as an operator who controlled Apple’s supply chain.

Cook had “considerable preparation” for becoming CEO, Withers said. Apple’s market cap went from about $350 billion to $4 trillion in his 15-year tenure.

Larry Page and Sergey Brin left their executive roles at Alphabet in 2019, 21 years after founding Google.

Page and Brin’s departures were expected. Page said at the time that it was the “natural time” to simplify the company’s management structure. Alphabet shares are up more than 300% since then under Sunder Pichai.

Travis Kalanick left Uber in 2017 after mounting pressure over a series of scandals and governance concerns.

But his departure “unfolded over several months, and while it certainly attracted attention, it pales in comparison to what Nvidia is currently facing,” Withers added.

Former Expedia CEO Dara Khosrowshahi repaired the organization and found a path to profitability.